4:40 am, November 29, 2011
THE Chancellor has delivered his Autumn Statement today – and for the UK automotive industry there’s some good news.
George Osbourne said the R&D tax credit system would be reviewed, meaning victory for the automotive and broader manufacturing sector.
The announcement follows a campaign by the SMMT and EEF to have the credit process revised.
The revision will help UK automotive to capitalise on its global significance, generating more investment in UK R&D, safeguarding jobs and affirming the country’s status as a prime location to base high-skill operations.
SMMT chief executive Paul Everitt said: ‘Reform of the R&D tax credit system propels the UK into a new league of global competitiveness sending a strong signal to international investors.
‘The UK is already a centre for innovation with advanced engineering and low carbon expertise attracting major corporations to invest in the UK; this reform will enhance the UK’s investment appeal, create high value jobs and drive economic growth.’
Meanwhile, the Chancellor scrapped the 3p rise in fuel duty which was planned for January. It means along with the fuel duty cut in the Budget, prices at the pumps should be 10p a litre cheaper.
£1bn will also be invested in the UK’s road network.
